China's services sector grows more than expected - Caixin

5th Nov 2024 08:00

(Sharecast News) - Activity in China's services sector picked up more than expected in October, according to a survey released on Tuesday.

The Caixin services purchasing managers' index rose to 52.0 from 50.3 in September, coming in above consensus expectations of 50.5 and hitting a three-month high.

A reading above 50.0 indicates expansion, while a reading below signals contraction.

Wang Zhe, senior economist at Caixin Insight Group, pointed to the raft of monetary and fiscal stimulus measures announced over the past month.

"The effectiveness of these new policies in improving domestic demand, employment and livelihoods will require close monitoring," Wang Zhe said.

"Additionally, achieving China's 2024 growth target will depend on a sustained recovery in consumer demand. That means policy efforts should focus on increasing household disposable income."